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NextEra Energy Partners (NEP) Stock Declines While Market Improves: Some Information for Investors

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The latest trading session saw NextEra Energy Partners (NEP - Free Report) ending at $27.47, denoting a -0.4% adjustment from its last day's close. The stock's performance was behind the S&P 500's daily gain of 0.4%. On the other hand, the Dow registered a gain of 0.62%, and the technology-centric Nasdaq increased by 0.6%.

Heading into today, shares of the limited partnership for clean-energy projects had gained 12.43% over the past month, outpacing the Oils-Energy sector's loss of 1.57% and the S&P 500's gain of 1.71% in that time.

The investment community will be paying close attention to the earnings performance of NextEra Energy Partners in its upcoming release. The company is expected to report EPS of $0.51, down 10.53% from the prior-year quarter. Meanwhile, the latest consensus estimate predicts the revenue to be $325.11 million, indicating a 11.42% decrease compared to the same quarter of the previous year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $2.20 per share and revenue of $1.28 billion. These totals would mark changes of +547.06% and +2.52%, respectively, from last year.

Investors should also pay attention to any latest changes in analyst estimates for NextEra Energy Partners. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 26.13% higher. As of now, NextEra Energy Partners holds a Zacks Rank of #3 (Hold).

Investors should also note NextEra Energy Partners's current valuation metrics, including its Forward P/E ratio of 12.54. This expresses a discount compared to the average Forward P/E of 21.29 of its industry.

The Alternative Energy - Other industry is part of the Oils-Energy sector. With its current Zacks Industry Rank of 203, this industry ranks in the bottom 20% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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